The ease of doing business in the Philippines was boosted after the Manila-based Asian Development Bank (ADB) approved a $400 million policy-based loan to assist the country to become a top investment destination.
ADB, in a press release, said the Business Environment Strengthening with Technology Program (BEST) Program 1 aims to help the private sector to streamline and enhance the transparency of regulatory requirements and business processes.
It will also help facilitate investment in priority sectors “with strong development impact and strengthen digital delivery of government services to businesses and investors”, such as renewable energy and digital infrastructure.
“The private sector is an important engine of growth and job creation. Their role in the country’s overall economic development cannot be overstated,” ADB Country Director for the Philippines Andrew Jeffries. “We are committed to assisting the Philippines in finding innovative ways to create an enabling environment that would spur a more dynamic business sector—one that will help drive faster economic growth.”
Citing the 2024 ranking in the International Institute for Management Development’s World Competitiveness Ranking last year, ADB said the Philippines ranked 52nd out of the 67 economies in terms of the operational efficiency pillar of the World Bank’s Business Ready framework.
Because of this, ADB said “the government has prioritized addressing existing barriers in doing business to boost the country’s competitiveness and drive increased investments and job creation.”
With the loan, there will be “better legal, regulatory, and institutional frameworks to facilitate starting and operating a business, including faster permit and licensing procedures and government approval of new ventures.”
“The program supports whole-of-government solutions to raise investments and support sustainable economic growth in the country. It aims to improve investor experience through strengthening investment facilitation. It will also provide clear, updated, and reliable information via online investors’ guidebooks and a digital database of business regulations through the Philippine Business Regulations Information System launched by the Anti-Red Tape Authority (ARTA),” it added.
